# Batam Residents Protest Data Center Water Usage Amid Severe Drought Local water shortages spark public outcry against expanding AI infrastructure in Indonesian tech hubs. - **Source:** [The Straits Times – Asia](https://www.straitstimes.com/asia) - **Published:** 2026-11-08 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/48795212-4dc2-40c4-87e5-d1511450cc7a ## Water Crisis Sparks Protests Residents in Batam, Indonesia, are protesting against the rapid expansion of data centers as severe water shortages disrupt daily life. With taps running dry, locals struggle to cook or bathe, leading to spontaneous demonstrations outside the Nongsa Digital Park. The community increasingly blames these energy-intensive facilities for depleting critical local resources. ## Climate and Infrastructure Factors Local utility operator Air Batam Hilir attributes the crisis to a long drought exacerbated by a strong El Nino cycle. A spokesperson noted that low rainfall levels significantly reduced reservoir capacity. Additionally, an electrical fault further disrupted supply systems, complicating the delivery of water to households across the affected Batam communities. ## Data Center Resource Demands Data centers require significant water volumes to cool their high-performance servers, which keep global AI tools operational. While authorities deny these facilities caused the current shortages, residents remain skeptical. The tension highlights the conflict between the region's economic ambitions as a tech hub and the basic needs of local citizens. ## Government Mandates for Developers In response to the growing public frustration, authorities issued a directive in late September requiring developers to build seawater desalination plants. This policy aims to reduce reliance on fresh water supplies for cooling purposes. Companies operating in the Nongsa Digital Park must now adapt their infrastructure to meet these new sustainability requirements. ## Industry Response and Technology Companies like Gaw Capital Partners acknowledged the community's distress regarding the water crisis. They stated that facilities must deploy advanced engineering and closed-loop water systems to reuse resources efficiently. These architectural designs are intended to minimize fresh water consumption, though residents continue to report ongoing difficulties with their daily supply. ## Regional Economic Context The surge in data center construction in Indonesia and Malaysia follows a moratorium on new developments in Singapore between 2019 and 2022. As Singapore faced resource constraints, neighboring regions became prime locations for tech giants. This shift has brought significant investment but also intensified local concerns regarding pollution and utility consumption. ## Impact on Local Livelihoods Small business owners in areas like Mata Ikan report that the water crisis has severely impacted their operations. Many can no longer produce ice cubes for their stalls, and distributed water from government tanks is often described as yellowish or smelly. These conditions have forced residents to resort to using seawater. ## Future Infrastructure Challenges Projections suggest data center capacity in South-east Asia will triple by 2030, driven by a tenfold increase in AI usage. This rapid growth threatens to strain electricity grids and water supplies further. Future stability depends on whether developers can successfully integrate sustainable technologies while maintaining the support of local communities. ## Sources covering this story - [The Straits Times – Asia — Indonesian Residents Protest Data Centres Amid Severe Water Shortages](https://www.straitstimes.com/asia/se-asia/cant-cook-or-shower-indonesians-take-aim-at-data-centres) - [South China Morning Post – Asia — Indonesian Residents Protest Data Center Water Consumption](https://www.scmp.com/news/asia/southeast-asia/article/3373676/indonesians-furious-batam-data-centres-drain-taps-we-cannot-cook-without-water) --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._